Post by RoyCheadle on Jun 22, 2020 9:00:20 GMT
HI All,
I'm looking at a case study at present where a new premises build was completed and part of the local council condition was that landscaping must be done to fit in with the local area.
The project was signed off but landscaping wasn't done. Whilst the build has been depreciating, the landscaping was completed 12 months later. This has been posted as property repairs expense.
My thought is as its £12k it can be capitalised as it relates to original condition of build. So can be added to the register, and depreciated in line with the original build terms.
Is this correct or should it be left as a P&L expense?
thanks
I'm looking at a case study at present where a new premises build was completed and part of the local council condition was that landscaping must be done to fit in with the local area.
The project was signed off but landscaping wasn't done. Whilst the build has been depreciating, the landscaping was completed 12 months later. This has been posted as property repairs expense.
My thought is as its £12k it can be capitalised as it relates to original condition of build. So can be added to the register, and depreciated in line with the original build terms.
Is this correct or should it be left as a P&L expense?
thanks